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tv   Nightly Business Report  PBS  June 11, 2013 4:30pm-5:01pm PDT

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real money helps you think through ideas for investing and trading stocks. action alerts plus a chartble trust portfolo, online, social media, we are the street.com. >> the summer heads up and so
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does stock market volatility. the dow triple digit swing in the past 11 sessions and market watchers, they get ready for more. >> the heat turns turned up on the banks and the hundreds of dollars in overdraft fees you may be racking up each year. >> and putting your money where your foot is. the hot stop that was once anything but the 1,000% run up in shares in a big box shoe retailer. that and more on nightly buzz report for tuesday, june 11th. good evening everyone. volatility was the word on wall street and istanbul. concerns about the world's central banks and our federal reserve pulling back on stimulus plans caused wild swings in stock markets around the globe. the dow was down 150 points after the yield on the ten-year treasury sparked to a 14-year
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high with no changes in monetary policy but investors swooped in on those early dips sending the dow into positive territory for a time. wall street's attention later fixated on protests as they used tear gas in istanbul. wall street fluctuated. by the close it tumbled 116 points and the s and p lost 16 points. >> we'll speak with karen, president of metropolitan capital and author of the book about today's markets and more. the senate voted 82-18 to clear the way for formal debate on a massive 900-page measure overhauling the nation's immigration laws. president obama surrounded by business leaders among others sounded optimistic about congress passing the controversial bill soon. >> smarter enforcement, a path
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way to earn citizenship, improvements to the legal system. they are all common sense steps. they have got bipartisan support. they have got the support of a broad cross section of leaders from every walk of life, so there is no reason congress can't get this done by the end of the systummer. >> one of the business leaders, a strong supporter of immigration reform. >> it's very important that we continue to be a magnet for talent, that we really become the place that people want to start companies and start industries because that's the best way to drive our economy, economic growth, best way to drive down the unemployment. we got to make sure we're able to attract those risk takers, the pioneers that believe in america as the best in the world. >> our guest was at that event with president obama.
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gary loveland is the ceo of cesars entertainment and a member of the business round table lobbying for immigration reform. gary, so nice to have you back on the program. >> pleased to be here, suzy. >> so there has been a lot of anxie anxiety, as you know about immigration reform so why are you in the business round table such big supporters. >> it's good for the broken immigration system and business. the president's proposal and what the senate is considering has three central features, the first to enhance border security meaningfully and deal with the 11 million undocumented immigrants and children who live in the united states today whose circumstances are ill defined and not functional for anyone and rationalize the immigration system. we access the world's greatest talent and bring them here for their best work and for the simple reasons these ideas suggest, it's good for everybody. >> talk to me about a path way to citizen ship, which is part
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of the proposed legislation that would involve the 11 million undocumented workers or residents finding a way to -- to get legal here in this country. what should it include in your view? >> the president's proposed that it includes making sure nobody has criminal offenses against them, they can speak english, pay taxes and regular in american life as they petition for inclusion in the queue to move forward towards citizen ship and i think all those standards make sense. the president proposed those folks come in behind the queue that exists for those pursued legal immigration. you can imagine a feathers of those along with those that are moving ahead under the newly propose the mechanism. >> gary, about the economic impact of this. immigration is a problem that has to be fixed, but, you know, what do you say to people who are worried about especially americans out of work who are looking for a job and can't find one and are worried about the economic impact when the economy
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is weak with huge deficits? >> that's a little bit of a false concern. i think on the one hand as steve points out, we're losing access to great minds that can help propel it. we have people available to work with today's high unemployment rate and i don't believe the regularization of undocumented folks would led to a substantial supply that would compete for those seeking work here. on the other hand and i think more importantly, suzy, having a regular utilized immigration system will enhance for demands for companies like many and others and the housing market, which is essential to the growth in this country that would led to a better outcome for everyone, including those seeking work. >> what would immigration reform mean to your business? >> it would enhance the demand for those who find their circumstances in this country predictab predictable.
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it would lead to invasion for folks staying in this country as steve proposes and in terms of our being able to find the most talented people to serve our guests and drive our country forward, we have better prospects for that as well. on the prospect side and demand side, it's a sound argument. >> gary, thank you for coming on the program. great to have you. >> thank you. small business owners would have a lot riding on new immigration rules, as well and right now they are feeling optimistic. the latest survey shows that small business owners report improvements in outlooks for job openings, capital investment and inventory building. it looks like more american companies plan to hire more workers next quarter, the largest amount of new hires of one quarter in five years according to the manpower group, a global employment service. meanwhile, the labor department says advertised job openings fell 3% in april and the number of americans who quit their jobs
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spiked 7% that month but economists see this as a good sign, workers who quit usually do so to get better jobs. a new report from washington's financial watchdog agency says consumers pay more than half of the charges on their checking account fees in the form of overdraft fees. more over, the study found that customers that opt in for overdraft protection paid hundreds more in fees and had their accounts closed more frequently than those who decline it. gala has more on how banks are raking in those fees and what you can do for them. >> reporter: it's that pit in your stomach when you look at the bank statement, that check you wrote was cashed early or the deposit hasn't hit yet, either way that $3 cup of coffee cost you 38 bucks. for more than a year, the consumer financial protection bury is studying this, the way banks charge consumers for overdrawing accounts and how the banks disclose these practices.
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the findings, in a year, someone who overdraws his or her account will face an average after $225 in fees, those who frequently overdraw more than $900, those fees hitting those who opt in overdraft protection with red tape. for customers, it's a sensitive subject. with banks already charging high fees and balances to maintain accounts, multiple overdraft charges representing 60% of accofe is just
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beginning. for nightly business report, kayla, new york. sweeteners and poison pills lead our market focus tonight. soft bank raised the bid for
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sprint nextel to close out dish network. shareholders vote in two weeks. sprint sharps gained more than 2%ed to and more than 28 since last october when soft bank made it's offer. another set of shareholders at news corp voted today to split the company in two on june 28th. news corp will become the name of the publishing asset while 21st century fox will be the umbrella. news corp gained more than 66% in the year-long run up to the split. shares were down a fraction today closing at 3167. the pharmacy benefit manager landed a ten-year deal with significa cigna to manage the plans. quest core, a big mover today in a deal, the company acquired a treatment for auto immune diseases. it plans to seek u.s. approval for the drug called cinakvin.
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it traded at ten times normal volume closing at 42.11%. bananas, now 90-year-old david murdoch wants to buy more of them. he owns 40% of the company and wants to buy the rest for a little more than a billion dollars. murdoch told the new york times back when he was 88 that he wanted to live to be 125. not sure i would bet against him. investors took murdoch seriously today, shares up more than 22% as you see there on heavy volume. and still ahead, the big risk facing some of the biggest media companies and the lengths they are going to to fend off the competition. but first, how the international markets closed today.
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the energy department said they found the shares under ground. 345 billion barrels or rough low 10% of the world's crude supplies. the report found russia has the largest reserve of oil followed by the u.s., aragain tina and libya. general motors is lowering the price of the all electric chevy volt by $14,000 to lift stalling sells. if you combine the new price cuts with the 75 hundred dollar federal tax credit for electric cars, a brand-new volt will cost
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about $29,000. >> take that microsoft. sony unveiled the play station 4, the company said it will be priced at $399 in the u.s., $100 less than microsoft's xbox 1 announced yesterday. once more, the ps 4 won't restrict used games sales or need to be hard wired to the internet during games. the national cable show is underway and the big top pick is whether high bills will push consumers to cut the cord or drop their cable and satellite services in favor of streaming video and what cable companies are doing to prevent that trend. julie has more from washington. >> reporter: cable bills, the rare type of content people must watch live in realtime. that means sports costs are on the rise and espn is the most expensive channel. also pushing prices higher, new
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competition from fox sports 1 which is launching in 90 million homes in august and comcast nbc sports. industry analysts warn high sports fees are driving cable bills so high, consumers could cut the cord. to prove it's value and keep subscribers hooked, espn is offering more mobile access to live sports to it's subscribering considering paying mobile carriers to make it cheaper and easier for espn subscribers to watch more mobile video. >> our intention is to always make it as easy and convenient for all consumers to consume all our content across all platforms at any time. we're not in active discussions but are exploring to subsidize wireless usage would be helpful. >> reporter: while espn require sports fans log in to access the mobile content, make sure they keep paying monthly cable bills,
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other cable giants are trying. they are establishing a bigger online presence giving away more content for free with adds. discovery communications recently launched an online only network called test tube targeting young men, hard for tv advertisers toreach. it will be available through hits website, xbox and the like. >> we're playing aggressively in the traditional cable space but anywhere consumers are consuming content, we want to play, and so we're not making money in that space yet, but we are -- we have the leading streaming video business in the u.s. and it's -- i think for us in terms of the way the world goes, it's important for us to stay contemporary. >> reporter: that's all about offering consumers content where they want, when they went on any device. the question for the future, whether companies demand consumers keep paying the monthly cable bill to access that content everywhere or whether they think the ad revenue from new digital
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ventures will create a new viable business. google is striking back on court orders to handle information about customers. the unusual request the attorney general and head of the fbi comes in the wake of disclosures that internet companies received the requests about the activity of users. the company is fiekting back against allegations it gives broad access to user data like which websites they visit. our next guest runs with the big boys on wall street, in fact more often than not she outruns. she's in a new york based management firm and here to talk marp ke markets and the book, secrets i'd only tell my daughters about business and life. she's the mother of two sets of twins, by the way.
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what is the market telling you in recent days? >> you know what? i don't love what the market is telling me in recent days. we gotten to a period of where we had non-correlation. >> meaning. >> meaning things changing on fundamental values, stocks moved and it now when you have these macro events acquired on the macro fund but now you have these macro events -- >> japan. >> and japan, and for the company that markets seems to be out of control, that volatility, we don't see that in a market. didn't like seeing those two big m macro because you get to everything is correlated to one. that's hard when everything correlates. >> let's go from macro to micro. where do you see this and what should investors do? this is a confusing time for investors. >> it is. to me, the bond market seems
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particularly scary to me. i feel like you can find value with dividends, if that's your interest, in pun intended, dividends in the market but this bond market, that to me i think jim -- jim grant once reif he wered -- referred to it as return-free risk. that's not for me. >> bonds on the highs, 220, 225 area on the yield. i wonder where you would peg a bond yield at the end of the year. how much higher do they go? >> i don't know. i hope they are higher because i think that would ith the marketo said i can't believe we got financing done at 3.25. i can't believe that's what we paid. i wouldn't want to be on the other side of the trade. >> let's talk about your book you just came out with. i find the women i come across these days just out of college
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or entering the work force, open and upbeat about the opportunities that await them and it's very refreshing. i'm wondering what would be your advice to this new generation of women? >> i think for me what i was trying to give advice is staying out of your own way or getting out of your own way and women sometimes aren't their best advocate and they need to be. they are in charge now. nobody else is in charge. you go through your life of college maybe with a plan and road map and there is no clear road map so they have to be in charge, speak up for themselves, they have to take some risks, and -- >> that's true. >> any woman, any man. >> any person but i think women sometimes are being risk adverse. i think also makes them hold back somewhat in their career. >> word association. cheryl sanburg? >> powerful. >> almost all of the book i
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agree with. >> when do you think there will be a female ceo of a major center bank coleman sacks, jp morgan city. >> uh-huh i would have thought when i started wall street 25 years ago it would have seen it. i think we are a decade away, at least. >> why is that? real liquickly? >> they are not building up the ranks enough. the bench isn't deep enough yet. >> women need to lean in more. >> secrets i would only tell my daughters about business and life. thanks for being with us. >> thanks for having me. coming up on the program, if the shoe fits you may want to
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wear it and own a sock, too. what is driving the comeback of shoe retailer dsw but first how ka -- treasuries and currencies come in today. whether you're flying or walking, everybody needs shoes and when an under performing foot ware discounter figures out what the core customers want and rewards them for coming back, shoppers and investors benefit from the turn around. in the come back companies, jackie dean gles looks at dsw. >> if you discount it, they will come when it comes to buying shoes at dsw. >> the prices are good. the styles are great, and it's a
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large selection. >> reporter: this stock made a come back. more than 1,000% since the stock hit a low. behind that, an evolution through execution. just part of ceo mike mcdonald's helm in 2009. several key strategies driving growth including a focus on marketing and breaking ground on new stores. today they have 377 national locations and they plan for almost 400 by the end of the year. perhaps the company's greatest success catering to the core customer with deep discounts and rewards when consumers need them most. >> it's a very simple program. it's very easy to sign up and ed essentially after you spend about $150, we will send you a $10 certificate good on the next purchase. >> it's beneficial and i don't have to have a card, just give them my phone number and i get
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the coupon in the mail once in awhile and you can use. >> reporter: what's on deck to drive growth forward? enhancing the experience through what dsw calls an omni channel, online and mobile. and the company is expert meanting with smaller stores. >> we will be testing smaller format stores that we can use to infiltrate smaller markets and to fill market voids that might exist in existing markets we serve. >> reporter: dsw focuses on the strategy. >> you know, in '09 the business was good but we weren't making any money and since that time, we've continued to grow it and now it's a very significant contributor to the bottom line. >> reporter: when sales rely on consumers, there are risks. >> things like higher taxes, higher gas prices, particularly in the midwest, i think early in the year they worried about some
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of the national budget concerns, the sequester, all of that. >> reporter: still most analysts that covered the stock rated a buy some protected the earnings growth of 15 to 20%. for nightly business report i'm jackie d'anglo. you might be too late if you're looking for a copy of the great american novel as a father's gift. the great gatspy sold high. the buyer wants to remine anonymous, says the book appears to be in good condition and has hand-written notes and corrections from the original owner the critic and novelest malcolm. >> if f. scott fitzgerald knew. >> do you agree it will be another decade -- >> i hope it's sooner than that.
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she knows best, but i hope it's sooner than that. that's nightly business report for tonight. i'm suzy thanks for watching. >> i'm tyler, have a great evening everybody and log on to our website nbr.com. we'll see you back here tomorrow night. online, mobile, social media we are the street.com.
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hello and welcome to nhk world "newsline." it's wednesday, june 12th. i'm catherine kobiyashi in tokyo. turkey's prime minister says he will not yield to protesters. erred juan has demanded an immediate end to almost two weeks of demonstrations. but protesters entered

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